China likely to deny buyer’s bid to acquire Hummer

BEIJING — China’s planning agency is likely to reject a Chinese company’s bid to acquire General Motors Corp.’s Hummer unit on the grounds that its hulking SUVs conflict with Beijing’s energy-saving goals, state radio reported.

The National Development and Reform Commission also is likely to say the Chinese buyer, a maker of construction machinery, lacks the expertise to run Hummer, China National Radio said late Thursday. It cited no source for the information.

Foreign acquisitions in China require regulatory approval. The government has said environmental criteria have risen in importance in vetting potential industrial projects.

Sichuan Tengzhong Heavy Industrial Machinery Corp., a private company, emerged as the surprise prospective buyer of Hummer this month after GM sought court protection from its creditors. Both companies refused to say how much the Chinese company offered.

Hummer is one of the best-known brands that a Chinese company has tried to buy.



by the associated press